"The most important job we create is the next one. This is why everyone is needed. This is why I am asking everyone to do more," O'Malley said.The Democratic governor said Wednesday that lawmakers must be willing to make tough decisions this year to make the state stronger.

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O'Malley told lawmakers that, "There are costs, and there are values."

Republicans are attacking a variety of tax proposals the governor has pitched this year. They include a 6 percent sales tax on gasoline that would be phased in by 2 percent a year, and an increase in the state's "flush tax" on sewer bills.

O'Malley has submitted a robust $3.6 billion capital budget that increases state borrowing in hopes of creating more than 50,000 jobs, particularly in the construction industry.

The governor's plan also includes changing the tax code on residents earning $100,000 or more, which received swift rebuttal from Republicans.

"I don't know what world he lives in, but it's not the world the people of Maryland live in," said Sen. Nancy Jacobs, a Republican who represents portions of Harford and Baltimore counties.When the governor outlined his budget plan in January, he described it as the best budget he has been able to submit in terms of new job creation since the recession hit.

O'Malley recognized that his tax proposals will not be popular, but he warned that job growth, cleanup of the Chesapeake Bay and transportation needs all have a price.

"In the course of this discussion, let's ask one another how much less education do you think will be good for our children? How much less public safety? How many future jobs?" O'Malley said.

The governor also wants to split the combined costs of teacher pensions and Social Security with local districts. Baltimore County Executive Kevin Kamenetz said his jurisdiction is prepared to absorb the cost.

"I'm going to continue our austerity program by reducing our expenses any way we can without having to raise taxes, that's our goal, and not to furlough employees while trying to keep delivering our basic services," Kamenetz said.

O'Malley made an emotional plea to pass the hotly-contested same sex marriage bill that's currently being heard in the General Assembly. He and his staff wore buttons reading "dignity."

"We want our children to live in a loving, caring, committed and stable home protected equally under the law," O'Malley said. "It's not right and it's not just that the children of gay couples should have lesser protections than the children of other families in our state."

The governor's agenda also includes a ban on new septic systems and the development of offshore wind power.